Ross Stores Inc (ROST)

Operating profit margin

		Jan 31, 2025	Feb 3, 2024	Jan 31, 2024	Jan 31, 2023	Jan 28, 2023
Operating income	US$ in thousands	2,585,590	-795,896	2,307,660	1,990,330	-771,779
Revenue	US$ in thousands	21,129,200	20,541,100	20,376,900	18,695,800	18,693,000
Operating profit margin		12.24%	-3.87%	11.32%	10.65%	-4.13%

January 31, 2025 calculation

Operating profit margin = Operating income ÷ Revenue
= $2,585,590K ÷ $21,129,200K
= 12.24%

From the data provided, Ross Stores Inc's operating profit margin has exhibited some variability over the past few years. The operating profit margin started at a low of -4.13% on January 28, 2023, indicating that the company's operating expenses were outpacing its revenues, resulting in a negative margin.

However, there was a significant improvement in the operating profit margin to 10.65% on January 31, 2023, suggesting that the company was able to generate more profit from its operations relative to its revenues. This positive trend continued into the following year, with a further increase in the operating profit margin to 11.32% on January 31, 2024.

There was a slight dip in the operating profit margin to -3.87% on February 3, 2024, indicating that the company may have faced challenges in controlling its operating costs relative to its revenues during that period. Nonetheless, Ross Stores Inc was able to bounce back strongly, achieving a high operating profit margin of 12.24% on January 31, 2025, signaling robust profitability from its core business operations.

Overall, the fluctuating nature of Ross Stores Inc's operating profit margin highlights the company's ability to adapt to changing market conditions and operational challenges while still achieving healthy levels of profitability.